Tax-loss harvesting allows investors to offset capital gains by selling underperforming assets at a loss. This guide outlines key strategies to maximize tax savings while following IRS regulations. What is Tax-Loss Harvesting? Tax-loss harvesting is a tax strategy that helps investors reduce their taxable income by selling investments at a loss to offset capital gains.… Read More
Be Prepared for Your Tax Appointment Bringing the right documents to your tax appointment ensures a smooth filing process and helps maximize deductions. Use this tax documents checklist to make sure you have everything you need when meeting with your tax preparer. Here is a printable version of the Tax Appointment Checklist. For your convenience,… Read More
High-income earners face substantial tax burdens, but with effective tax planning, they can legally reduce their taxable income and retain more of their earnings. Strategic use of deductions, tax-advantaged accounts, and smart investment choices can help high earners minimize tax liabilities while maximizing long-term financial growth. What is Considered a High Income? The Internal Revenue… Read More
How Social Security Benefits Are Calculated Your Social Security benefit is based on your 35 highest-earning years, adjusted for inflation. The Social Security Administration (SSA) calculates benefits using the Average Indexed Monthly Earnings (AIME) and a formula that determines your Primary Insurance Amount (PIA). The maximum taxable earnings cap affects how much you can… Read More
A Roth IRA is one of the most effective retirement savings tools available. Unlike traditional tax-deferred accounts, Roth IRAs allow for tax-free growth and withdrawals, making them an excellent choice for individuals looking to maximize their long-term savings. This guide will explain how Roth IRAs work, their tax advantages, and whether they are the… Read More
Benefits of a Roth IRA for Education Savings 1. Roth IRAs are NOT included as an asset on the FAFSA (Free Application for Student Aid) form. Most other assets, including the amount in 529 plans, are included when calculating your EFC (expected financial contribution). 2. Roth IRAs are more flexible. You can earmark as… Read More
When planning your financial future, understanding the differences between tax-deferred and tax-free accounts is essential. Each offers unique tax benefits and potential savings, and the right choice can significantly impact your retirement and investment growth. This guide will help you navigate these options and choose the best strategy for your financial goals. What Does Tax-Deferred… Read More